Mar. 17, 2026 "Lululemon's net income down as brand promises product shakeup": Today I found this article by Tara Deschamps on CBC:
Lululemon Athletica's interim leaders say change is taking shape at the brand, which has been battered with criticism from its estranged founder since the holidays.
Interim co-chief executive and chief financial officer Meghan Frank said Tuesday that the apparel retailer plans to shake up its product assortment with
fewer logos,
a "more focused
and co-ordinated"
colour palette
and a "more edited" assortment of small accessories.
The goal is to leave the brand with collections that
feel fresher
and inspire more customers to pay full price,
addressing past consumer gripes about a lack of newness
and moving Lululemon away from some of the discounting that's become habit lately.
"We recognize there is more work to be done
... but we are encouraged by the guest response to our recent new product drops and activations,"
she told analysts minutes after the company released fourth-quarter earnings.
The Vancouver-based retailer, which keeps its books in U.S. dollars,
reported net income of about $586.9 million US for the quarter,
compared with $748.4 million US a year earlier.
The result for the period ended Feb. 1 amounted to earnings per diluted share of $5.01 US, down from $6.14 US a year before.
Lululemon's revenue was $3.6 billion US, up by about one per cent from its prior fourth quarter.
The quarter marked the last under CEO Calvin McDonald, who departed Lululemon at the end of January for beauty conglomerate Wella Company.
Under McDonald,
Lululemon's sales tripled,
its menswear division was expanded
and the company landed buzzy deals with Canada's Olympic team
as well as the NHL
and NFL.
But its share price also dramatically eroded,
and competitors like Alo and Vuori started stealing away customers.
These struggles didn't escape founder Chip Wilson, who has not worked for Lululemon for years but still holds some of its stock.
He has been pushing since December for Lululemon
to revamp its brand
and creative strategy
and has recommended three board nominees
— Marc Maurer, a former co-chief executive of On Holding AG,
Laura Gentile, a former chief marketing officer of ESPN
and Eric Hirshberg, a former chief executive officer of Activision
— to speed up the overhaul he's pitching.
Lululemon has not named any of Wilson's nominees to its board.
It has said it repeatedly asked to interview the trio
but alleges Wilson would not allow that to happen
unless the board agreed to a full set of settlement terms,
which the retailer did not outline.
Uneven performance
Frank was joined on the call by André Maestrini, Lululemon's interim co-CEO and its president and chief commercial officer, who dug into the company's uneven performance across several markets.
In the last quarter alone,
Lululemon's net revenue in the Americas dropped five per cent on a constant dollar basis
but was up 14 per cent across the company’s international division.
Maestrini said customers in China have been responding well to the company's product assortment,
especially its outer and loungewear,
but indicated, back home, there is work to do because the company has resorted to more markdowns.
He said Lululemon's primary goal in North America this year "is returning the business to healthier levels of full-price sales.”
The company also plans to improve the customer experience online and in-store
"with less density of product to better showcase our new styles and innovations,
and to make the stores easier for guests to navigate and shop."
https://www.cbc.ca/news/canada/british-columbia/lululemon-fourth-quarter-results-9.7132663
Apr. 2, 2026 "Saks Global secures US$500 million exit financing, targets emergence from bankruptcy by summer": Today I found this article by Neil J Kanatt on BNN Bloomberg:
Saks Global on Thursday said a group of bondholders has agreed to provide US$500 million in exit financing after the luxury retailer emerges from bankruptcy proceedings, which is expected by this summer.
The company had filed for Chapter 11 bankruptcy protection in January with $3.4 billion in debt,
in one of the largest retail collapses since COVID,
after its merger with Neiman Marcus
caused cash shortfalls
and inventory issues.
Saks said it continues to engage with its capital partners and other financial stakeholders on a plan of reorganization and anticipates its filing in the coming weeks.
Last month, the retailer said it got access to an additional $300 million of its $1.75 billion bankruptcy funding package,
giving it sufficient liquidity to support operations.
It added that a group of bondholders also approved its five-year business plan.
The retailer in March said it would
close 12 Saks Fifth Avenue stores
and three Neiman Marcus locations.
This follows the January decision to wind down 62 of its off-price operations,
including Saks OFF 5th
and the remaining Neiman Marcus Last Call stores.
The company on Thursday also said its inventory has improved after more than 650 brand partners resumed shipping, which has aided customer engagement.
(Reporting by Neil J Kanatt in Bengaluru; Editing by Vijay Kishore)
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